-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: keymaster@town.hall.org Originator-Key-Asymmetric: MFkwCgYEVQgBAQICAgADSwAwSAJBALeWW4xDV4i7+b6+UyPn5RtObb1cJ7VkACDq pKb9/DClgTKIm08lCfoilvi9Wl4SODbR1+1waHhiGmeZO8OdgLUCAwEAAQ== MIC-Info: RSA-MD5,RSA, BZNYMKTVEy3B/UTph7TBoTXa/O4tAoihDwo6rwvKCnHsOn4mPhPFkWQDab0m7cZZ hI1VpN84wTN9S76suh8iyg== 0000086312-94-000009.txt : 19940503 0000086312-94-000009.hdr.sgml : 19940503 ACCESSION NUMBER: 0000086312-94-000009 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19940425 ITEM INFORMATION: Other events ITEM INFORMATION: Financial statements and exhibits FILED AS OF DATE: 19940502 FILER: COMPANY DATA: COMPANY CONFORMED NAME: ST PAUL COMPANIES INC /MN/ CENTRAL INDEX KEY: 0000086312 STANDARD INDUSTRIAL CLASSIFICATION: 6331 IRS NUMBER: 410518860 STATE OF INCORPORATION: MN FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-10898 FILM NUMBER: 94525563 BUSINESS ADDRESS: STREET 1: 385 WASHINGTON ST CITY: SAINT PAUL STATE: MN ZIP: 55102 BUSINESS PHONE: 6122217911 FORMER COMPANY: FORMER CONFORMED NAME: SAINT PAUL COMPANIES INC DATE OF NAME CHANGE: 19900730 8-K 1 8-K SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ----------------------- FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 --------------------------- Date of Report (Date of earliest event reported): April 25, 1994 THE ST. PAUL COMPANIES, INC. ------------------------------------------------------ (Exact name of Registrant as specified in its charter) Minnesota 0-3021 41-0518860 --------------- ------------------- --------------------- (State of (Commission File (I.R.S. Employer Incorporation) Number) Identification No.) 385 Washington St., St. Paul, MN 55102 - ---------------------------------- ---------- (Address of principal (Zip Code) executive offices) (612) 221-7911 ---------------------------------- (Registrant's telephone number, including area code) N/A - ------------------------------------------------------------- (Former name or former address, if changed since last report) Item 5. Other Events. ------------ Filed herewith is a press release dated April 25, 1994, of the registrant relating to its results for the quarter ended March 31, 1994, which will be superseded by the registrant's Quarterly Report on Form 10-Q for such period. The results for an interim period are not necessarily indicative of the results for a full year. Item 7. Financial Statements, Pro Forma Financial Information and Exhibits. --------------------------------------------------------- An Exhibit Index is set forth as the next page in this report. Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. THE ST. PAUL COMPANIES, INC. By /s/ Bruce A. Backberg --------------------- Bruce A. Backberg Vice President and Corporate Secretary Date: May 2, 1994 EXHIBIT INDEX ------------- How Exhibit Filed - ------- ----- (99) Additional exhibits .. . . . . . . . . . . . . . .(1) (1) Filed electronically under the EDGAR Operational Program. EX-99 2 EXHIBIT 99 Exhibit 99 April 24, 1994 - FIRST-QUARTER CATASTROPHES DAMPEN ST. PAUL COMPANIES RESULTS St. Paul, Minn. - The St. Paul Companies (NYSE:SPC) reported 1994 first-quarter operating earnings of $49.6 million, or $1.09 per share, compared with first-quarter 1993 operating earnings of $79.9 million, or $1.77 per share. Net income for first-quarter 1994 was $64.4 million, or $1.42 per share, compared with $88.0 million, or $1.95 per share, for the first quarter of 1993. Net income included after-tax realized gains of $14.9 million, or $0.33 per share, for the first quarter of 1994, compared with $8.1 million, or $0.18 per share, for the first quarter of 1993. "Catastrophe losses were the highest ever in a first quarter for the property-liability insurance industry and for The St. Paul. Our catastrophe losses in the first quarter of 1994 were more than we experienced during all of 1993," said Douglas W. Leatherdale, chairman and chief executive officer. "Still, we're in the business of paying catastrophe claims, which by their very nature are unpredictable and volatile. We expect quarters like this from time to time. So, it's important to note that, aside from the catastrophe losses, our underwriting operations performed well in the first quarter." First-quarter catastrophe losses totaled $89.7 million pretax, or $1.40 per share after-tax, including $55.2 million in losses from the California earthquake; East Coast winter storms accounted for most of the remaining losses. That compares with pretax catastrophe losses of $46.2 million in the first quarter of 1993, or $0.68 per share after-tax. Underwriting Operations - ----------------------- THE ST. PAUL COMPANIES FIRST-QUARTER UNDERWRITING OPERATIONS HIGHLIGHTS Three months ended March 31 1994 1993 - --------------------------- ---- ---- Written premiums $804,571,000 $761,152,000 Underwriting loss ($83,057,000) ($60,216,000) Net investment income $164,525,000 $161,830,000 Pretax operating earnings* $69,312,000 $101,473,000 Statutory combined ratio 110.2 108.8 Impact of catastrophes on loss ratio 10.6 5.8 *excluding realized investment gains The first quarter of 1994 includes results from Economy Fire & Casualty Company, which The St. Paul acquired in the third quarter of 1993. Insurance Brokerage Operations - ------------------------------ The Minet Group had a pretax loss of $9.0 million for the first quarter, compared with a pretax loss of $7.8 million for first-quarter 1993. "The first quarter is a weak period seasonally for Minet," Leatherdale said. "We believe Minet is on track with its recovery and expect better results in future quarters." Investment Banking-Asset Management Operations - ---------------------------------------------- The St. Paul's investment in The John Nuveen Company produced 1994 first-quarter pretax earnings of $17.3 million, compared with $20.4 million for first-quarter 1993. The St. Paul owns 75 percent of Nuveen stock. "Nuveen's largest source of revenue - investment advisory fees from assets under management - performed well in the first quarter, producing $47 million, up from $39 million in first-quarter 1993," Leatherdale said. "However, Nuveen's investment banking and unit investment trust operations were hit hard by increasing interest rates in the first quarter." Consolidated Financial Position - ------------------------------- Consolidated assets of The St. Paul Companies as of March 31, 1994, were $16.7 billion, compared with $17.1 billion as of Dec. 31, 1993. Common shareholders' equity was $2.7 billion at the end of the first quarter, compared with $3.0 billion on Dec. 31, 1993. Book value per common share on March 31, 1994, was $64.04, compared with $70.95 on Dec. 31, 1993. Assets and common shareholders' equity were down from year-end due to the decrease in the value of The St. Paul's bond portfolio. At the end of 1993, The St. Paul adopted Statement of Financial Accounting Standards No. 115, which results in its bond portfolio being reported at estimated market value. The St. Paul Companies, headquartered in Saint Paul, Minn. is a group of companies that provides property-liability insurance underwriting and insurance brokerage products and services. THE ST. PAUL COMPANIES CONSOLIDATED FIRST-QUARTER RESULTS 1994 1993 ---- ---- Revenues $1,163,775,000 $1,114,028,000 Operating Earnings $49,572,000 $79,910,000 Per Common Share (Fully Diluted) $1.09 $1.77 Realized Investment Gains, Net of Taxes $14,865,000 $8,121,000 Per Common Share (Fully Diluted) $0.33 $0.18 Net Income $64,437,000 $88,031,000 Per Common Share (Fully Diluted)* $1.42 $1.95 * Primary net income per common share was $1.47 for the first quarter of 1994 compared with $2.02 for the first quarter of 1993. -----END PRIVACY-ENHANCED MESSAGE-----